Solar photovoltaics have come down in price, but remain a major household expense. Solar installers can provide cost estimates for either fully or partially covering your electricity demand. As you develop your budget, be aware of several options to make your project more affordable:
Tax Credits
A federal solar tax credit, covering 30% of the cost of your system, is available until 2032. Information about federal assistance is contained in the Dept of Energy’s Homeowner’s Guide to the Federal Tax Credit for Solar Photovoltaics.
Net Metering
For solar panels connected to the grid, utility companies in Iowa are required to compensate customers for excess solar energy at the utility’s avoided cost rate. Through this “net metering” policy, you will receive monthly credits off your utility bill for excess kWs you generate. Your installer will calculate net metering income you can expect to earn.
Solar Lending
Your chosen installer can provide financing themselves or suggest other options. Greenpenny Bank of Decorah has the largest solar lending program in the state. They work with solar companies, individual customers, and other banks to finance up to $70,000 solar loans. To learn about their solar program and calculate your lending costs, see the Greenpenny website at https://www.greenpenny.bank/
Additional information on installing solar
- Department of Energy / Planning a Home Solar Electric System
- Solar Energy Industries Association / Residential Consumer Guide to Solar Power
- Midwest Renewable Energy Association / Solar Energy Consumer Guide (link coming soon)
- Iowa Solar Energy Trade Association
- Better Business Bureau